I just checked the fear and greed index — it dropped to 12 points. That's already extreme fear, honestly. Yesterday it was 16, and now it's completely in the basement. The market sentiment has been worsening for a month straight.

The fear and greed index tracks investor emotions from various sources, and when it drops so low, it means one thing — people are panicking. The cryptocurrency market is clearly under serious pressure. Everyone is cautious; no one wants to enter.

This fear and greed index is a good barometer of what’s going on in traders’ minds. When it’s at such levels, it’s usually either a bottom or it will go even lower. It’s interesting to see how long the market will sustain this extreme panic.